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Wednesday, May 20, 2015

FIVE MAJOR BANKS PLEAD GUILTY, CANCER CHARITIES SCAM

WHAT A DAY FOR BUSINESS NEWS!REMEMBER HOW LONG I'VE WRITTEN ABOUT THE INTERNATIONAL BANKING CARTEL'S POWER? LOOKS LIKE IT'S ENOUGH POWER FOR A"GET OUT OF JAIL FREE" CARD."THEY FORMED A GROUP KNOWN AS "THE CARTEL"...NO, REALLY?THAT WAS DONE BACK AROUND 1850 OR SO, WASN'T IT? FIVE, COUNT 'EM, FIVE MAJOR BANKS HAVE PLED GUILTY TO CRIMINAL CHARGES AND HAVE AGREED TO PAY ALMOST $6 BILLION COLLECTIVELY SO THEY CAN CONTINUE ROBBING THE MARKET. BEGINNING IN 2007, CITICORP, JPMORGAN CHASE, BARCLAYS AND ROYAL BANK OF SCOTLAND ALL ADMIT THEIR TRADERS BEGAN RIGGING FOREIGN EXCHANGE PRICES OF U.S. DOLLARS AND EUROS AND HAVE DONE SO FOR THE PAST 8 YEARS.

The $2.5 billion in criminal fines levied as part of the resolutions represent the largest federal anti-trust penalties ever obtained by U.S. authorities, she said.

Federal prosecutors said Euro-U.S dollar traders at Citicorp, JPMorgan, Barclays and RBS — self-described members of the cartel — used an exclusive electronic chat room and coded language to manipulate benchmark exchange rates of the two currencies in ways that benefited their own trading positions.

"By agreeing not to buy or sell at certain times the traders protected each other's trading positions by withholding supply of or demand for currency and suppressing competition in the FX market," the Department of Justice said."

UNION BANK OF SWITZERLAND (UBS) WOULD ONLY PLEAD GUILTY TO ONE CHARGE OF WIRE FRAUD, AND GOT OFF NICELY."UBS also acknowledged involvement in the rate-rigging. However, the Swiss banking giant received conditional immunity from criminal prosecution because it was the first to report foreign-exchange misconduct to DOJ investigators. The bank and subsequently provided "full cooperation" to federal prosecutors and other authorities in Europe and around the world.

That leniency came with a high price. Making good on threats to deal harshly with banks accused as repeat offenders, federal investigators said the bank violated terms of the 2012 non-prosecution agreement that had settled UBS' involvement in rigging the London Interbank Offered Rate (Libor). The financial benchmark is used to set rates on trillions of dollars in mortgages, loans and credit cards.

As a result, UBS agreed to plead guilty to one count of wire fraud, pay a $203 million fine and accept a three-year term of probation for Libor rate manipulation by its traders. UBS also agreed to pay $342 million to the Federal Reserve and make remedial changes to its foreign-exchange business practices.

No individual bank employees were hit with criminal charges as part of the settlements, though several authorities said investigations into foreign-exchange issues are continuing.

SEE?NO ONE IS GOING TO PRISON?OF COURSE NOT!YOU HAVE TO BE A 'LOWLY' CITIZEN, A "J.Q. PUBLIC' TO GET A PRISON SENTENCE FOR THAT!MEGABANKS PAY MERRILY AND JUST GO BACK TO BUSINESS AS USUAL. ALTHOUGH 'FEDERAL PROSECUTORS' KNOW DAMN WELL WHO WAS AT THE HELM OF THIS VENTURE, STILL, NO BIG NAME IS GOING DOWN FOR IT!NOW WE ALL KNOW WHAT YOU HAVE TO DO, OR BE, TO DO AS YOU PLEASE AND JUST PAY A FINE, AND GO BACK TO WORK MAKING BILLIONS, TRILLIONS, WHATEVER. CHEATING PAYS!BREAKING THE LAW PAYS!YOU, TOO, CAN BE A CRIMINAL WHO GETS NO TIME!JUST JOIN A MEGABANK'S TOP STAFF!

"In all, the five banks have now paid nearly $9 billion in total criminal and civil fines and penalties for rigging the foreign-exchange spot market, Department of Justice officials said.

Bank officials took responsibility for the illegal activity, terminating dozens of traders as investigators around the world probed foreign exchange practices."

RIGHT, SURE, OKAY."WASN'T ME, BUT i'L;L TAKE RESPONSIBILITY."CUTE.ISN'T THAT CUTE? THE REST OF THE STORY IS JUST HEAPING PILES OF THE USUAL "BS" WHEN BIG BOYS GET CAUGHT..."OH, SHOCK!WE'LL FIX IT!YADA-YADA-YADA..." THEY'LL SMILE ALL THE WAY TO THEIR OFFSHORE ACCOUNTS. AND THEY ADMIT NONE OF THIS WILL HURT THEM...

"Bank officials nonetheless predicted the settlements were not expected to have a material impact on their financial operations. Lynch said the banks are "working with their regulators" to obtain any waivers might be required to continue normal operations.

Investors appeared to deliver a mixed appraisal of the resolutions.

Shares of Barclays, UBS and Royal Bank of Scotland moved at least 2% higher in early-afternoon trading. But Citigroup shares were down 0.68% at $54.95, while shares of JPMorgan were down 0.70% at $66.54."

MEANWHILE, BACK IN THE CHARITY RACKET...FOUR CANCER CHARITIES WERE BUSTED FOR USING DONATIONS TO FUND LAVISH LIFESTYLES FOR THEIR "FOUNDERS" AND FAMILIES.FROM THE NEW YORK TIMES:

"While cancer patients were dying, these charity scammers were living it up — with millions meant for the sick, a damning federal lawsuit charged Tuesday.

Four phony philanthropies, all supposedly aiding cancer victims, spent some of their $187 million in donations on Caribbean cruises, Disney World trips, concert tickets, Jet Ski outings and dating services, the court papers alleged.

A mere 3% of the collected cash went for actual charitable purposes, despite promises of providing pain medication to cancer-stricken kids and covering hospice care costs for dying patients.

“Bogus charitable fund-raising in the name of helping cancer patients is as immoral as it is illegal...(It’s) charity fraud of the most cynical kind,” said New York State Attorney General Eric Schneiderman.

The crooked charities were accused in court papers filed by the Federal Trade Commission, along with prosecutors in all 50 states and Washington, D.C.

The lawsuit, filed in Federal Court in Arizona, exposes the Children’s Cancer Fund of America, the Breast Cancer Society, the Cancer Fund of America and Cancer Support Services.

The first two scam operations entered settlement agreements that included shutting down the “charities,” a ban on their leaders from doing future nonprofit work — and $137 million in judgments.

But the case goes on against Tennessee-based Cancer Fund of America, along with the affiliated Cancer Support Services. James Reynolds, president of both groups, was also named in the lawsuit.

According to the lawsuit, roughly 85% of the money collected went to the professional fund-raisers hired by the bogus charities."

SOUNDS LIKE THE "HUMANE/ANIMAL CHARITIES"...AND A FEW DOZEN OTHER ONES...TWO YEARS AGO, THIS SAME JAMES T. REYNOLDS, SR WAS BUSTED FOR THIS, SO WHAT TOOK SO LONG TO SHUT IT DOWN? HOW MANY MILLIONS DID HE RAKE IN WHILE PROSECUTORS DID LITTLE TO NOTHING?